Refer to Figure 3-2. A decrease in the price of the product would be represented by a movement from

The figure above shows the loanable funds market. At an interest rate of

A) 4 percent, the quantity supplied of loanable funds equals $18 trillion. B) 8 percent, the quantity demanded of loanable funds exceeds the quantity supplied. C) 6 percent, the quantity demanded of loanable funds equals $14 trillion. D) 8 percent, there is a surplus of loanable funds. E) 4 percent, there is a surplus of loanable funds.

Refer to Figure 5-9. The private profit-maximizing output level is

A) Q1. B) Q2. C) Q3. D) Q4.